Return on investment (ROI) is a crucial metric that organizations consider when evaluating new technologies and training methodologies. In this article, we shall examine how virtual reality (VR) training is a cost-effective and efficient approach to employee training, resulting in a positive ROI.
1. VR Eliminates Expensive Physical Equipment and Resources
One of the primary benefits of VR training is that it eliminates the need for expensive physical equipment and resources that traditional training methods often require. This is supported by recent studies that show that organizations can save up to 50% on training costs by using VR training instead of traditional methods. With VR training, employees can simulate the use of specialized equipment, allowing them to practice their skills and procedures without incurring the high costs associated with physical equipment.
2. VR Saves Time
Moreover, VR training allows organizations to save time. Traditional training methods can take several hours or even days to complete, resulting in a loss of productivity. On the other hand, VR training can often be completed within a fraction of the time, enabling employees to return to their work sooner.
This is particularly important when considering the cost of time in the workplace. Studies show that each minute of an employee's time can cost an organization between $0.50 and $2.00, making time management a critical factor in training ROI.
Another study by the University of Maryland found that participants who received VR training completed their tasks faster and with fewer errors than those who received traditional training methods. This reduction in training time leads to increased productivity and efficiency.
3. VR Enhances the Quality of Training
In addition to saving time and money, VR training has been proven to be effective in enhancing the quality of training. Research indicates that employees retain information more effectively through immersive learning experiences such as VR training.
For example, a study conducted by PwC found that VR learners were four times more focused than their e-learning counterparts and felt more emotionally connected to the content. Consequently, employees are more likely to apply what they have learned on the job, increasing productivity and reducing the occurrence of accidents and errors.
4. VR Reduces Travel & Accommodation expenses
Finally, VR training significantly reduces the need for employee travel and accommodation expenses. Traditional training methods frequently necessitate that employees travel to a central location, incurring travel and accommodation costs; VR training can reduce this. This is particularly relevant in today's remote working environment where employees are spread across different locations.
In conclusion, VR training offers a compelling ROI proposition. By reducing costs and improving training efficiency, organizations can save money while enhancing productivity.
According to a survey by Deloitte, 53% of companies are planning to implement VR training in the next three years. This indicates that more and more companies are recognizing the benefits of VR training and are willing to invest in the technology to improve their training programs and achieve a positive ROI.
If you are a Learning & Development professional who is serious about making the most of this technology, schedule a call with the Facilitate team to find out how you could apply virtual reality training to your organization.